Iberdrola will build Europe's largest photovoltaic project in Portugal

Iberdrola has obtained the environmental permit to build the largest photovoltaic project in Europe and the fifth largest in the world in Portugal. With 1,200 megawatts (MW) of installed capacity, it will be an example of strict compliance with all environmental standards, and will be located in the municipality of Santiago de Cacém, near Sines, a logistics hub in southern Europe, with Prosolia Energy as a partner. 

When it comes on stream, expected in 2025, the plant, named Fernando Pessoa after the Portuguese poet, will be able to supply enough clean, cheap, locally generated energy to cover the annual needs of some 430,000 households, a population equivalent to almost twice the size of the city of Porto. The facility, whose grid connection is already contracted with the Portuguese operator REN, will avoid the consumption of 370 million cubic metres of gas each year, which would have been needed to produce the same amount of energy in a combined cycle. 

The land for the project has already been secured, and construction will generate up to 2,500 jobs, mostly filled by local workers. The plant will be an example of the coexistence of new renewable developments with the environmental heritage and local communities. Thus, the project contemplates a Socioeconomic Actions Programme that includes measures such as professional training in the field of energy or support for the tourism sector, in addition to providing solar energy to nearby communities.  

In terms of biodiversity protection, the land will be used by local shepherds as pasture for sheep farming in the area and beehives will be introduced, which will contribute to improving the stability of the ecosystems and boosting crop yields in the surrounding farmland. In addition, planting will be carried out in the area surrounding the facility to replace the eucalyptus trees with indigenous trees. 

"The Fernando Pessoa solar installation marks a new milestone in Europe by combining clean energy ambitions with the generation of positive and tangible environmental and social impacts. We need to reduce our exposure to fossil fuels. We are proud to remain committed to building new clean energy infrastructure in Portugal, as we have already done with the Tâmega gigabattery. The collaboration of the Portuguese authorities has also been essential to bring this project to this stage in record time," says Ignacio Galán, Chairman of Iberdrola.  

"Fernando Pessoa will be an extraordinary project and an example of respect for the environment. This type of project was unimaginable just a few years ago, but Iberdrola has the technical expertise and financial strength to make it happen. We look forward to maintaining our central role in Portugal's ambitious clean energy future," adds Alejandra Reyna, Country Manager for Renewables Portugal. 

Portugal has recently announced a new regulatory programme accompanied by a modernisation of administrations to encourage and speed up the deployment of clean energy. The stable and predictable regulatory framework led by the country helps to attract the confidence of investors who see that Portugal has put all its efforts into accelerating the implementation of the European Green Pact and the EU's REPower package. 

Through the incorporation of renewable permits into the Simplex programme, created to simplify national administrative procedures, the country aims to accelerate the response to the double challenge posed by the climate and energy crisis in Europe. This step will help further guarantee energy self-sufficiency and ensure that the country remains firmly on track to meet its climate targets.  

Iberdrola plans to invest an additional €3 billion in wind and solar power in the country in the coming years. At the end of the year, it completed construction of the Alcochete solar complex (46 MW) in the Setúbal district (Lisbon region), a district in which the company has also completed two other photovoltaic installations: Conde (13.5 MW) and Algeruz II (27 MW). In early 2023, construction will begin on the 37 MW Montechoro I and II projects in Paderne (Albufeira) and the 64 MW Carregado project in Alenquer (Lisbon), while the Estoi solar plant (83 MW) in the Algarve, which also includes battery storage, will come on stream in 2024.  

All the plants belong to the auctions that Portugal held in 2019 and 2020, in which Iberdrola was awarded a total of eight photovoltaic projects - 270 MW and was the largest winner by number of lots in the 2019 auction.  

Last year, the energy company also inaugurated the largest pumped hydroelectric storage project in the Alto Tâmega, in northern Portugal, and one of the largest energy storage projects in Europe. With an investment of 1.5 billion, it has three dams and three power plants (Gouvães, Daivões and Alto Tâmega) and a combined capacity of 1,158 MW. The group plans to build a wind farm linked to this facility, which will turn the complex into a hybrid generation plant, which, with its 400 MW of installed capacity, will be one of the largest wind power projects in Portugal.  

Iberdrola already operates 92 MW of wind power in Portugal, spread over three wind farms: Catefica, in the municipality of Torres Vedras, with 18 MW; Alto do Monção, in Mortágua and Tondela, with 32 MW; and Serra do Alvão, in Ribeira de Pena, with 42 MW. Together, these plants produce 200 GWh per year, equivalent to the electricity used by 35,000 households.